The Reality of Buy-Back Sales and Their Ruling
Machine translationRead the Arabic original
Question:
And what is the buy-back sale, O Shaykh? The buy-back sale?
Answer:
The buy-back sale is another type. It is when you buy a commodity from Zayd or 'Amr on credit, on a deferred basis, and then you sell it to him for less. It is the same person who sold it to you. For example, if the price is one hundred units, or one hundred bags, at a known price, say one hundred thousand riyals, and then he says: "I will buy it from you instead of you selling it to the people. I will buy it from you." So you sold it to him for one hundred thousand, deferred until Ramadan of the year 1406, for example. He says: "I will take it from you now for ninety thousand, a reduction of ten thousand riyals, meaning I will give it to you in your hand." This is not permissible, because the meaning is that he gave you ninety, and you give him one hundred afterwards. It is a stratagem to circumvent usury. It means that you took the ninety, and you pay one hundred. This is the buy-back sale. This is the issue of the buy-back sale, because you sold a debt for a tangible asset. You sold a debt in your liability for a tangible asset you take from him.
Question: And the sale that exists in the car auction, where one is looking for a commodity... or something?
Answer: No, he must buy it, take possession of it, and then sell it afterwards.
Question: .. : Does he pay a deposit for the goods that will come later?
Answer: .. : He sells it before.
Q: A deposit to the company?
A: No, he does not sell it until he takes possession.
And what is the buy-back sale, O Shaykh? The buy-back sale?
Answer:
The buy-back sale is another type. It is when you buy a commodity from Zayd or 'Amr on credit, on a deferred basis, and then you sell it to him for less. It is the same person who sold it to you. For example, if the price is one hundred units, or one hundred bags, at a known price, say one hundred thousand riyals, and then he says: "I will buy it from you instead of you selling it to the people. I will buy it from you." So you sold it to him for one hundred thousand, deferred until Ramadan of the year 1406, for example. He says: "I will take it from you now for ninety thousand, a reduction of ten thousand riyals, meaning I will give it to you in your hand." This is not permissible, because the meaning is that he gave you ninety, and you give him one hundred afterwards. It is a stratagem to circumvent usury. It means that you took the ninety, and you pay one hundred. This is the buy-back sale. This is the issue of the buy-back sale, because you sold a debt for a tangible asset. You sold a debt in your liability for a tangible asset you take from him.
Question: And the sale that exists in the car auction, where one is looking for a commodity... or something?
Answer: No, he must buy it, take possession of it, and then sell it afterwards.
Question: .. : Does he pay a deposit for the goods that will come later?
Answer: .. : He sells it before.
Q: A deposit to the company?
A: No, he does not sell it until he takes possession.
Source
binbaz.org.sa
The Arabic text is copied verbatim from the original source, without any edits.